January 12, 2012

Economic Warfare: Iranian Currency Sinking

I know Obama gets a lot of flack for his dealings with Iran. Most of these criticisms are warranted. But the newest round of sanctions? Good work and they seem to be having an effect:

Iran's currency has slid 20 percent against the dollar in the last week despite central bank intervention, and Iranians concerned about the economy said on Tuesday attempts to send text messages using the word "dollar" appeared to be blocked.

As Gerald notes, the sinking Iranian rial is even worse for the people of Iran since the government sets artificial exchange rates. They've lost up to 50% of their purchasing power.